This paper applies carrier phase shifted pulse-width modulation (CPS-PWM) to transformerless modular multilevel converters (MMC) to improve the output spectrum. Because the MMC topology is characterized by the double-star connection of six legs consisting of cascaded modular chopper cells with floating capacitors, the balance control of the DC-link capacitor voltage is essential for safe operation. This paper presents a leg-balancing control strategy to achieve DC-link voltage balance under all operating conditions. This strategy based on circulating current decoupling control focused on DC-link balancing between the upper and lower legs in each phase pair by considering the six legs as three independent phase-pairs. Experiments are implemented on a 100-V 3-kVA downscaled prototype. The experimental results show that the proposed leg-balancing control is both effective and practical.